The process: 1) analyze the deal → 2) apply → 3) valuation (appraisal/BPO) → 4) term sheet → 5) close & fund (5–14 days) → 6) renovation draws → 7) interest-only payments → 8) exit (sell or refinance). See Requirements for what each step needs.
On this page
The 8 steps to funding
Analyze the deal
Confirm as-is value, ARV, rehab budget, and the 70% rule before you commit. Run the calculator →
Apply & submit the package
Purchase contract, scope of work, proof of funds, resume, entity docs. No tax returns.
Get the valuation
Lender orders an appraisal or BPO confirming as-is value and ARV.
Review the term sheet
Loan amount, LTV/LTC, rate, points, term, draw schedule — shopped across lenders for best cost. How terms price →
Close & fund
Sign through escrow/title and fund — often 5–14 days, sometimes faster.
Draw renovation funds
Rehab money releases in draws as work is completed and inspected.
Make interest-only payments
Pay interest monthly while you hold; principal waits for the exit.
Execute your exit
Sell the finished property or refinance into a DSCR loan for a rental hold.
What's needed at each stage
| Stage | What you provide / expect |
|---|---|
| Analysis | Comps, ARV estimate, rehab budget, 70% rule check |
| Application | Purchase contract, scope of work, proof of funds, resume, entity docs |
| Valuation | Appraisal or BPO (as-is + ARV) |
| Term sheet | Loan amount, LTV/LTC, rate, points, term, draws |
| Closing | Signed docs, escrow/title, wired cash to close |
| Renovation | Draw requests + inspections as work completes |
| Exit | Sale escrow or refinance application (e.g. DSCR) |
Reviewed by the licensing team at Save Financial, a California-licensed mortgage brokerage (NMLS #377740, DRE #01875766) founded in 2009 and serving all 58 counties from offices in Newport Beach and Marina del Rey.